1. |
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1.1
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The purpose of this policy is to
• clearly articulate the lines of responsibility and accountability with respect to authorising the expenditure of University funds; and
• to establish effective and auditable internal controls in relation to the authorisation of expenditure. |
1.2
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This policy does not cover requirements which may exist for additional approval, for example by a University committee, prior to expenditure being authorised. Officers with expenditure authority must ensure that all necessary approvals have been obtained, and all other relevant University policies have been complied with, prior to authorising the expenditure of University funds.
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1.3
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The dollar limits specified in accordance with this policy, apply to contracts only in cases where the contract is for the purchase of goods or services. Other limits may apply to other types of contracts. These limits are set out in Appendix A to the Policy on Delegations of Authority to Enter into Contracts.
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2.
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Exercise of Expenditure Authority
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2.1
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Council has certain incidental powers under the Flinders University of South Australia Act 1966, including the power to oversee and manage the expenditure of University funds.
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2.2
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All expenditure of University funds:
• must be authorised by Council, either directly or through sub-authorisation in accordance with this policy;
• must be for and on behalf of the University, and for University purposes; and
• must be consistent with the University’s approved budget
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2.3
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Council may at its discretion delegate authority to University officers to authorise, within specified limits, the expenditure of University funds. Authorised officers in turn may sub-authorise expenditure authority to appropriate officers within their areas of responsibility (see section 4 below).
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2.4
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A Schedule of Expenditure Authorisations (hereafter referred to as ‘the Schedule’) will be maintained as an appendix to this policy. The Schedule will be submitted to Council for confirmation or amendment on an annual basis. The Schedule will set out:
• the officers to whom an expenditure authorisation has been delegated by Council (‘Authorised Officer’);
• the limits and restrictions which apply to each Council delegated expenditure authorisation; and
• the officers to whom an Authorised Officer may sub-authorise the expenditure authorisation (‘Sub-Authorised Officer’).
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2.5
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The dollar limits prescribed in the Schedule, and sub-authorisations made in accordance with this policy, apply to the total value of an item of expenditure, not to separate progress payments relating to that item. The dollar limits are in Australian dollars and net of any GST credits which the University can claim back.
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3.
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General restrictions applying to all expenditure
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3.1
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Expenditure incurred in the name of, or for the benefit of, an individual, e.g. travel, meals or accommodation, must not be authorised by the person in whose name or for whose benefit the expenditure is to be incurred.
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4.1
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Sub-authorisation of expenditure authority
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4.1
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The Schedule sets out the extent to which Authorised Officers may sub-authorise their expenditure authority to a Sub-Authorised Officer. An Authorised Officer may sub-authorise their expenditure authority to more than one Sub-Authorised Officer at a time.
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4.2
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Sub-authroisations must be made in writing.
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4.3
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Any single sub-authorisation must not exceed 70% of the expenditure authority dollar limit of the Authorised Officer making the sub-authorisation. In cases where a sub-authorisation is made to a General Staff member at HEO5 or below the expenditure authority dollar limit must not exceed $5,000.
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4.4
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Any single sub-authorisation must be limited in scope to the Sub-Authorised Officer’s area of responsibility.
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4.5
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A sub-Authorised Officer may not further sub-authorise their expenditure authority.
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4.6
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A Sub-Authorised Officer will at all times be accountable to the relevant Authorised Officer in exercising that expenditure authority. The Authorised Officer is responsible for ensuring that any sub-authorisation made by them is properly exercised.
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4.7
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Normally, sub-authorisations will be made to positions rather than to individuals. However, an Authorised Officer may make sub-authorisations to individuals where appropriate (e.g. – to research grant holders or staff with consulting funds).
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4.8
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Where a person is appointed to act in a position, the expenditure authority pertaining to that position will apply to that person for the period that they are acting in the position.
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5.
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Record keeping
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5.1
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Each Cost Centre must maintain an up to date register of relevant expenditure authorisations and sub-authorisations for the purpose of verification of expenditure authority. A register of these authorisations and sub-authorisations must also be included in the University’s central records system. The registers must include
• name of position of the Authorised Officer or Sub-Authorised Officer
• name of individual occupying the position
• expenditure authority limit
• restrictions on funds which can be authorised for expenditure
• date range if applicable
• example of the individual’s signature
• in the case of sub-authorisations, copies of the written instrument of sub-authorisation by the Authorised Officer to the Sub-Authorised Officer
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6.
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Related policies
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6.1
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Expenditure authorised in accordance with this policy must comply with all other relevant University policies including:
• Purchasing Policy
• Purchasing Card Policy
• Tender for goods and services
• Payment of Accounts
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6.2
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Contracts entered into on behalf of the University must comply with the Policy on Delegations of Authority to Enter into Contracts. |
